7 months ago
Adani Energy Solutions Upgraded, Stock Rises
Adani Energy Solutions, a big company that helps bring electricity to many places in India, just got a better rating from a group that checks how good companies are.
This made their stock price go up a little bit.
The company has a lot of power lines and helps more than 12 million people get electricity in places like Mumbai and Mundra.
A group that studies companies thinks the stock could go up even more in the future because the company is doing well and making more money.
They think the company will keep growing and making more profits in the next few years.
The company also has a special business that puts smart meters in people's homes, which is helping them make even more money.
Even though their stock has gone up a bit in the last year, it's still lower than it was two years ago.
The company is really big, with a value of over 1 lakh crore rupees.
Adani Energy Solutions received a rating upgrade to 'IND AAA' from 'IND AA+' by India Ratings.
The company's stock price increased by 4.26% to Rs 848.95 on Tuesday.
Ventura Securities retained a 'Buy' rating with a target price of Rs 1,298, implying a 53% upside.
Adani Energy Solutions reported Q3FY26 revenue growth of 15.4% YoY to Rs 6,730 crore and Ebitda growth of 20.2% YoY to Rs 1,995 crore.
The company's smart metering segment showed significant growth, with operational revenue up 1,283% YoY to Rs 235 crore and Ebitda up 1,320% YoY to Rs 213 crore.
- Who
- Adani Energy Solutions Ltd
- What
- Received a rating upgrade and positive brokerage outlook
- Where
- India, with operations in 16 states
- When
- Rating upgrade announced, stock price change on Tuesday, Q3 results reported
- Why
- Rating upgrade by India Ratings & Research, strong financial performance and growth prospects
Key facts
- Company
- Adani Energy Solutions Ltd
- Rating Upgrade
- IND AAA from IND AA+
- Stock Price
- Rs 848.95 (up 4.26%)
- Market Cap
- Rs 1.01 lakh crore
- Shares Traded
- 2.23 lakh
- Turnover
- Rs 18.69 crore
- Transmission Network
- 19,800 ckm
- Transformation Capacity
- 53,000 MVA
- Customers Served
- 12 million
- Target Price
- Rs 1,298 (53% upside)
- Revenue Growth (FY25-FY28)
- 25.9% CAGR
- Ebitda Growth (FY25-FY28)
- 26.1% CAGR
- Net Profit Growth (FY25-FY28)
- 58.1% CAGR
- Q3 Revenue
- Rs 6,730 crore (up 15.4% YoY)
- Q3 Ebitda
- Rs 1,995 crore (up 20.2% YoY)
- Q3 Net Profit
- Rs 552 crore (down 1.6% YoY)
- Smart Meter Installations
- 18.9 lakh in Q3FY26, 92.5 lakh cumulative
- Smart Meter Revenue
- Rs 235 crore (up 1,283% YoY)
- Smart Meter Ebitda
- Rs 213 crore (up 1,320% YoY)
- Power Transmission Revenue
- Rs 1,239 crore (up 4.2% YoY)
- Power Transmission Ebitda
- Rs 1,134 crore (up 4.4% YoY)
- Power Distribution Revenue
- Rs 3,104 crore (up 4.4% YoY)
- Mundra Utility Power Consumption
- Up 57.2% YoY
- Adani Electricity Mumbai Power Consumption
- Down 3.4% YoY
Quotes
Analysts at brokerage JM Financial
Financial analysts from JM Financial, a brokerage firm.
“Cash flows from the 1.6-gigawatt Godda plant in Bangladesh remain exposed to payment delays, power purchase agreement (PPA) renegotiation risk, and legal uncertainty following scrutiny by the Bangladesh high court, despite recent clearance of past dues.”
livemint.com
“Adani Power is undertaking aggressive capacity expansion, exposing it to risks of time and cost overruns, funding pressure, and execution slippages, despite its strong track record and land availability.”
livemint.com
Sources
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